Carbon Markets Emissions Reduction Fund

ANALYST ALERT: Bidding set to begin at second ERF auction

Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

Bidding will open on Wednesday for the second Emissions Reduction Fund (ERF) auction, which will run from November 4-5, operated by the Clean Energy Regulator.

Below, we outline our expectations for the second auction and implications for the supply of abatement towards Australia’s 2020 emissions reduction task.

Size matters?

As of 30th October 2015, applicants have registered 277 projects since the first ERF auction, with 87 projects registered in July alone as land-use proponents sought to mitigate the risk of a possible ‘early’ auction in line with the quarterly schedule initially proposed by the government.

Including the overhang of projects that failed to win contracts at the first ERF auction, 384 projects are currently registered in time for the second auction.

After avoided land clearing and landfill gas projects dominated the first auction, auction two will see a shift towards regeneration of forests, savannah burning, and industrial activities. 93 per cent of all projects are registered to land-use and waste proponents, while just 7 per cent are attributed to industry.

While industry accounts for only a small number projects registered, the size of those projects means that

Restricted Access

This is a subscriber report. Please login to access this content.

Become a Carbon Insider today

Unlock our latest analysis, briefings and price information with our new Carbon Insider service.

Click below to see our plans.

Sign up for regular insights

LATEST UPDATES

  • Carbon Markets

    How do international policy developments impact the Australian carbon market?

    Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

    While Australia’s climate policy malaise continues, international climate activity continues to build, with the EU […]

    Research Insights | July 23rd, 2021
  • Carbon Markets

    ALERT: Australian CO2 spot price hits $21.50, forward activity picks up

    Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

    The spot price for Australian carbon credit units (ACCUs) continues to break new ground, reaching […]

    Research Insights | July 21st, 2021
  • Carbon Markets

    13th ERF Auction date announced, but expectations remain muted

    Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

    The Clean Energy Regulator has announced that the 13th Emissions Reduction Fund (ERF) Auction will […]

    Research Insights | July 19th, 2021
  • Carbon Markets

    PRICE REPORT: Australian Carbon Offset Market Report: July 5 – 16, 2021

    Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

    Dear Subscriber, Our latest Australian Carbon Offset Market Report has now been published. The Australian […]

    Research Insights | July 19th, 2021
  • Carbon Markets

    RECORDING: Could the Australian carbon offset price eventually “do a Europe”?

    Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone

    One of the key drivers of record EUA prices is the increasing role of investors, […]

    Research Insights, Webinars | July 13th, 2021
  • Share on FacebookShare on Google+Tweet about this on TwitterShare on LinkedInEmail this to someone